Planning for retirement is challenging and research suggests that many employees in the UK could be underprepared.

The Standard Life Retirement Voice 2024 report explored financial wellbeing and attitudes towards retirement [1].
 
The findings showed:

• 75% of people had done little or no retirement planning
• 45% of people expected to work past State Pension Age
• 3 in 10 of those in Generation X expect to have less than £100,000 in their pension when they retire.

These statistics may paint a negative picture of the retirement prospects of UK workers.
 
Fortunately, the report also highlighted how financial advice could help your employees build wealth and alleviate the concerns they may have about retirement.

According to the report:

• 7 in 10 people believe they are better off after taking financial advice
• 68% of people who have done a lot of retirement planning feel good about their money.

As such, financial advice could help your employees prepare for retirement more effectively. 

What’s more, having a robust financial plan may improve the mental wellbeing and performance of your team.

Financial concerns could affect employees’ wellbeing and performance in the workplace
Research shows that concerns about their finances could contribute to mental health problems for your employees and may affect their ability to work productively.

According to a 2024 report from Mental Health First Aid England:

• 80% of those facing financial stress report feeling anxious or depressed at least once a week
• 52% of employees said financial worries have negatively affected their work performance [2].

Considering how much concerns about their wealth can affect your team, financial support may be very attractive and could benefit them in several important ways.

3 ways offering financial advice as a benefit could support your employees

1. Building financial security and reducing financial worries

Professional advice helps your employees build financial security now and in the future.
 
The data in the Retirement Voice report shows that 69% of people who took professional advice thought the support they received improved their quality of life. Additionally, 77% of people who see their adviser regularly feel they are better off financially as a result.

Ultimately, this means your employees can improve their financial position and potentially reduce worries about their wealth.
 
More importantly, being in control of their finances could improve their wellbeing and productivity in the workplace.

2. Giving them confidence about their retirement

Your employees may worry about retirement if they feel unprepared. With the right professional support, they may feel more positive about their situation.

That’s why 51% of people who have done no retirement planning are worried their savings will run out, compared with only 37% of those who have done a great deal of planning.

Access to advice can help your employees build wealth for later life and make them more confident about the quality of life they can achieve in retirement.

3. Helping them make informed decisions about their pensions

Your employees may not get the most out of their savings if they don’t understand how to manage their pensions. Some employees might lack knowledge about generating an income from their pensions when they retire too.

Financial advice allows your employees to make informed decisions about their pensions. For example:

• 46% of those who took advice felt confident about deciding where their pensions should be invested, compared with 14% of those who didn’t speak to an adviser
• 57% of advised clients knew how to turn their pension savings into an income, compared with 22% of non-advised clients.

By offering financial advice as a benefit, you could help your employees maximise their pension savings.

Get in touch

One-to-one advice can help your employees invest wisely in their future. And, after attending a group presentation on their workplace pension, employees can book a 75-minute meeting with a Titan Financial Planner to discuss
their needs.

To find out more email [email protected] or call us on 0800 048 0150.

Please note
This article is for general information only and does not constitute advice. The information is aimed at retail clients only.
All information is correct at the time of writing and is subject to change in the future.
A pension is a long-term investment not normally accessible until 55 (57 from April 2028). The fund value may fluctuate and can go down, which would have an impact on the level of pension benefits available. Past performance is not a reliable indicator of future performance. 
The tax implications of pension withdrawals will be based on your individual circumstances. Thresholds, percentage rates, and tax legislation may change in subsequent Finance Acts.  
Workplace pensions are regulated by The Pension Regulator.

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